College Math

I sat next to a fresh faced Seattle teen and her dad on the flight back from New York City. They were perusing a Columbia University brochure. “Shopping colleges” I asked and the father was off and running never mind that I really needed some sleep.

His story is deserving of a separate post, for our purposes today, he said a year at Columbia costs $73,000. The dad makes bank and the daughter is the best 16 year old archer in the country, but last I checked, archery scholarships weren’t too generous. Meaning the fam has to come up with at least $325,000 given projected tuition inflation, air travel, and NYC incidentals. A fan of dark humor apparently, he said, “And then they need a masters to get a job.”

She wants to “be a doc for professional athletes” so rather than a masters, she’ll have four years of med school tuition.

Compared to a degree from the University of Washington, will a Columbia degree (or Stanford or UCLA* or Berkeley where she’s also applied), increase the odds of her achieving her career objective, which of course, she’s likely to tweak if not completely change? Her older sis pays $11,000 a year to study public health at “UDub”, one of the top programs in the world.

If I was the dad, I’d make Younger Daughter a proposition. Follow in Older Sister’s footsteps and I’ll give you the money saved from Columbia that you can then use to travel the world and fund medical school, and/or start a business, or to buy a large luxe house in Cedar Rapids, Iowa.

Here’s the final tally:

$325,000 – $50,000= $275,000 + 4 years earning 3% compounded annually = $309,515

What should she do, cash the check for $275,000 and allow it to grow to $309,515 by graduation, or take a very expensive bite out of the Big Apple?

*in this one case, the obvious answer is; yes, definitely